5

I used to get paid monthly at base salary of 48k. I have recently changed my job and getting paid fortnightly with a base salary of 50k

I did some calculation and found out that if I get paid monthly I would end taking home $2962.09. However, my take home pay is $1367.13. This does not add up I thought the for nightly should have been 1481$ 2962/2 = 1481?

I was paid 2864 monthly at 48k base salary, being paid 50k fortnight is less than 2864. im confused here.

The website that i used to calculate this is http://www.paye.net.nz/calculator.html

Here is the summary of my pay. Note, my kiwi saver is 4% and student loan is applied at 12%

enter image description here

Dheer
  • 57,348
  • 18
  • 89
  • 170
Matt
  • 59
  • 1
  • 1
  • 2

1 Answers1

16

A month is not four weeks, so your fortnightly pay is not half of your monthly pay. There are twelve months in a year but there are 52.18 weeks (allowing for leap years but not for the fact that 1900 and 2100 are not leap years). So your fortnightly pay should be (2 * 12/52.18) of your monthly pay, which would be $1362.44. In fact they've been slightly generous on the fortnightly pay calculation and assumed there are exactly 52 weeks in a year, so you're very slightly better off (around 0.3%) being paid fortnightly instead of monthly.

Mike Scott
  • 23,853
  • 2
  • 66
  • 80